Without his acquisition of the company, Twitter “would have gone bankrupt in four months,” Elon Musk said at a Morgan Stanley media conference Tuesday. Musk thanked Apple and Disney for advertising on Twitter.
[Musk] express[ed] gratitude to Disney and Apple for being long-term partners. “Thank you,” he said… “The most important thing is that the advertising is effective, that it is relevant and that it moves the needle for a company.”
Usage and engagement on Twitter have never been stronger, Musk said. Monetizing the platform’s large, global, educated and affluent user base remains the key challenge. The broader media sector happens to be in an ad slump triggered by recession fears. But even so, he said the former regime left lots of money on the table, and also had unsustainable cost base.
He said when the deal closed October 29, Twitter was tracking “at a negative $3 billion a year run rate, and had #1 billion in the bank. So that’s a pretty dire situation.” Costs were skyrocketing and the company “would have gone bankrupt in four months.” He insists the highly public, deep rounds of layoffs and restructuring have cut the (non-interest) burn rate to about $1.5 billion and that Twitter has a shot at being cash-flow positive next quarter, depending on the ad market. “It’s been a very difficult four months, but I am very optimistic about the future,” he said.
MacDailyNews Note: The ad slump about which Musk speaks is real. It’s currently an existential threat. Please help support MacDailyNews if you can. Click or tap here to support our independent tech blog. Thank you!
Last December, Musk posted a tweet thanking advertisers for returning to Twitter:
Just a note to thank advertisers for returning to Twitter
— Elon Musk (@elonmusk) December 4, 2022
Shop The Apple Store at Amazon.
That negative 3 billion run rate was from all that dead weight of useless college woman’s studies, CRT trained incredulously woke employees. Now that Elon got rid of that trash and others worthless bitter clingers jumped ship, Elon is getting Twitter’s economic house in order. And notice how Twitter didn’t collapse after all those people were gone.
Imagine if what Elon did at Twitter was done to the bloated Federal government filled with Twitteresque bloat of bureaucracy, bureaucrats, and career politicians! It would not be the end of America, but it sure would be a welcome new fresh change brought to that swamp.
Also, Apple’s PS: to Elon, ‘You can stow that tesla Pi Smartphone now’!
Yadda yadda yards
Wow — Musk apologists sound a lot like Trump apologists: Even their obvious missteps are signs of genius thinking, if only one were aware enough to recognize it.
Face it, buying Twitter was a rash move by a billionaire narcissist that he tried to get out of, realized he couldn’t, and is frantically trying to turn the company profitable by hollowing it out, stiffing contractors, and selling off the furniture.
It’s kinda fun watching it from afar.
I commend you on your total commitment to stupidity
He delayed the purchase because of lying libturds
Poor Sam. Clearly deluded, and likely off your meds. He sued to get out of buying Twitter because of “lying libturds”? Funny, that’s not the argument he made in court… and nothing that makes the least bit of sense. Apologist, indeed.
You’re a typical leftist loony and a disgrace to humanity.
Hey writer, how many hundreds of billions have you made, you stupid fucktwat?
If what he says is true, why did he spend 4 billion on an enterprise he could have bought for a lot less if he waited the 4 months? Such a brilliant business man!
Twitter sold for $44B. That $4B is Musk’s personal money.
Twitter and Musk entered into an agreement in April of 2022.
The deal was closed at the end of October.
Since the contract was in place, waiting four months would achieve no savings.
Macaholic and WriterGuy sound as credible as Tennersworth who is some idiot who I iCal’ed their prediction back on November 2022 on a MDN post about what would happen to Twitter in three months and then something else in six months. Along with ad revenue drying up. Wrong on 2 out of 3, and just waiting two more months to pass to see this moron bat a 1000!